300 Million Coffee Trees to Meet Rising Demand in Uganda?

300 Million Coffee Trees to Meet Rising Demand in Uganda?

From Bloomberg

Uganda, Africa’s second-biggest coffee producer after Ethiopia, may plant 300 million trees in three years to benefit from rising global demand for the beans.

The plan depends on securing 107.8 billion shillings ($42.1 million) of funding for the program in the three years through June 2016, the Kampala-based, state-run Coffee Development Authority said on its website. At least 35 billion shillings is required in the 12 months through next June, according to the authority, which didn’t specify where the funds may originate.

Demand for robusta beans, used to make instant coffee, will rise 3 percent in 2013-14 after jumping 6 percent this year and 15 percent in 2011-12, Volcafe Ltd., the Winterthur, Switzerland-based coffee unit of commodities trader ED&F Man Holdings Ltd., said in a report last month.

Coffee accounts for 20 to 30 percent of Uganda’s annual export revenue, and the country exports most of its beans to the European Union, the U.S., Switzerland, Morocco, Sudan, India, Singapore and Russia, according to the authority.

Read more at bloomberg.com